Trick or treat finances: Teaching kids about money at Halloween

Halloween is more than a spooky holiday. Parents can use Halloween to help their kids learn about money as they shop for candy, costumes and decorations with a set amount of money to spend.

"I love that idea," said Plantation financial planner Ben Tobias. "It's one of the best ways to teach kids about finances."

He recommends giving kids a certain amount this year for buying Halloween candy, costumes and decorations.

The teachable moment is needed: Many of South Florida's children grow into big spending adults -- who haven't learned about money. They often come running to their parents or grandparents for financial help, Tobias and other financial planners said.

Indeed, a recent study by the American Institute of Certified Public Accountants found that only 1 percent of parents surveyed said their kids saved anything from their allowances that averaged $65 a month.

But one of the best ways for kids to learn about managing money is to give them a budget -- and parents can start with Halloween.

"Parents can instill in their kids the value of budgeting and spending wisely,” said Jason Alderman, senior director of Global Financial Literacy at Visa Inc.

He recommends:

Have kids figure out how much candy was given to trick or treaters last year and how much is needed this year.

Encourage kids to clip coupons for candy, look for costume sales and do comparison shopping on both.

Let them pick out the Halloween items so that they can add up the costs as they go along in the store. Stress to them that getting a more expensive item means getting less. If they want something that exceeds this budget, tell them that it will have to come out of their allowance.

Reward frugality by telling kids that if they come in under budget, you will split the savings with them.

Other money-savings ways include emphasizing the free fun: Watch scary movies on TV, read Halloween tales from books that be checked out free from a library and bake holiday treats for the family.